Pseudonymous Bitcoin stock-to-flow (S2F) model creator PlanB attacked Ethereum and mocked the project’s co-founder, Vitalik Buterin.

PlanB mockingly reposted a June 2022 X post by Buterin in which the Ethereum co-founder said S2F “is really not looking good now.” PlanB responded with a new posting stating, “Ethereum is really not looking good now.”

Source: PlanB

In his response to Buterin’s criticism from years ago, PlanB claimed Ethereum and the network’s coin, Ether (ETH), are centralized and premined, pointing to its shift to proof-of-stake (PoS) and changes in its issuance rate. He said that those features “are harmful and deserve all the mockery they get,” echoing Buterin’s old comment about S2F.

Related: Bitcoin analyst PlanB transfers Bitcoin to ETFs to avoid ‘hassle with keys’

PlanB’s criticism of Ethereum

In a separate X post, PlanB explained that an Ethereum full node requires nine terabytes of disk space, meaning he “can not run it” on his hardware. The kind of node in question is probably an Ethereum archival node, which, according to Etherscan data, requires over 21.8 terabytes (TB) with the Geth client.

An Ethereum full node running the Geth client that prunes older states with the default settings requires 1.28 TB, according to Etherscan data. The Bitcoin (BTC) and Ethereum communities have long debated what constitutes a full node.

This type of pruned node cannot access the full historical data or generate Merkle proofs for old blocks, which limits its research and bug-finding applications. Still, such nodes can engage in full trustless block and transaction validation.

Bitcoin’s full nodes require under 700 gigabytes (0.7 terabytes), according to Statista data, and also require much less computing power. This means that users can run Bitcoin full nodes much more easily, leading to a higher node count and higher network decentralization.

Not everyone views the criticism as founded. Jeremiah O’Connor, chief technology officer and co-founder at crypto cybersecurity firm Trugard, told Cointelegraph:

“PlanB’s take is classic Bitcoin maxi energy — loud, confident and missing half the picture.“

O’Connor explained that Ethereum and Bitcoin serve two different purposes. He said that “Ethereum nodes are bigger and more complex” since Ether “isn’t just digital gold — it’s a full-on global computer.”

“Of course it’s heavier.“

He conceded that users relying on centralized data providers like Infura is a problem. Still, he claimed that every ecosystem engages in centralization tradeoffs and that Ethereum developers are working to address the issue, and “it’s evolving fast.”

“Calling ETH a “shitcoin” because it’s not Bitcoin is like calling smartphones a scam because they aren’t landlines,“ he said.

He added that the two are different tools with differing purposes. He views Bitcoin as a “rock-solid value storage” and Ethereum as “where the builders are,” and said that “both matter” and “complement each other.”

Related: Can the Ethereum blockchain roll back transactions? Understanding the limits and risks

Buterin as a “single point of failure”

PlanB also questioned Buterin’s influence on Ethereum’s development, calling him a “single point of failure.” However, Ethereum Foundation co-executive director Tomasz Stańczak recently announced that Buterin is stepping back from day-to-day operations to focus on research.

PlanB also raised an issue with Ethereum rolling back transactions following the 2016 DAO hack:

“The fact that this is even possible should worry you.“

Bybit CEO Ben Zhou suggested an Ethereum rollback following the exchange’s $1.4 billion hack. Still, many in the community argued that a rollback happening now, with Ethereum being a more mature network, would be next to impossible.

Bitcoin itself had a comparable incident in its early history as well. On Aug. 15, 2010, an exploit resulted in a transaction that minted 184 BTC on the network in block 74638.

Satoshi Nakamoto (still involved in development at the time) and other core developers released an update that rolled back the network to block 74637 and patched the vulnerability. In other words, Bitcoin saw its own blockchain rollback in its early days.

Other points raised by PlanB include Ethereum switching to PoS, which he claims has consequences for the price. He suggested that changes to issuance and governance undermine Ethereum’s value proposition compared to Bitcoin’s fixed and predictable supply.

Magazine: Crypto ‘more taboo than OnlyFans,’ says Violetta Zironi, who sold song for 1 BTC

Opinion by: Amitej Gajjala, co-founder and CEO of KernelDAO

Bitcoin is the principal asset of the cryptocurrency world and even one of the world’s top 10 most valuable assets, recognized for its role as a store of value. Yet a huge percentage of the Bitcoin (BTC) supply remains dormant for years, meaning the crypto market only works with a fraction of the circulating supply each year. 

This idle Bitcoin has an enormous amount of untapped financial potential.

Bitcoin’s principal narratives are “store of value” and “never sell.” Today’s decentralized finance (DeFi) tools, however, enable yield gain by holding Bitcoin and taking advantage of dormant Bitcoin, which just sits in investors’ wallets and does nothing. 

Existing dormant Bitcoin is not being fully utilized 

Dormant Bitcoin has not been used for long periods, usually one or more years. According to Glassnode, as of early 2025, the active supply that has not moved in more than one year is approximately 62%.

This Bitcoin is held in wallets that show no activity on the blockchain and remain inactive for various reasons. These could be intentional long-term holding strategies or even permanent loss as a result of negligence or the death of their users. 

Let’s put aside the rest of the reasons and focus on long-term Bitcoin holding strategies. The existence of this group implies that they could enter the market at any time, producing significant volatility in the price of Bitcoin. Why aren’t we using that Bitcoin in DeFi right now? 

Activating dormant Bitcoin will make waves in the market

If large quantities of dormant Bitcoin were to reactivate immediately, it could significantly affect the cryptocurrency market, creating a noticeable event. These movements could dramatically affect Bitcoin’s price in a negative way due to potential selling pressure and influence the market with a significant increase in active circulating supply.

Recent: Stablecoin presence key to blockchain legitimacy, says ZachXBT

If the reactivated Bitcoin is, however, reintegrated into productive DeFi ecosystems rather than sold en masse, it could provide liquidity without destabilizing the market. With that amount of active liquidity, Bitcoin would not only be a “store of value” but also a productive asset with utility and application.

Let’s look at the announcement of the creation of a Bitcoin strategic reserve in the United States. One of the key points of this reserve is that it will follow budget-neutral strategies without selling the estimated 198,000 BTC held by the government. Those conditions are perfect for putting this Bitcoin into restaking and using it in DeFi to obtain rewards. Just picture all the gains the US could make by using most of its Bitcoin reserves in that way, without selling.

We need to explore Bitcoin’s potential in DeFi

Integrating dormant Bitcoin into DeFi platforms offers interesting Bitcoin and decentralized finance opportunities. Bitcoin would encourage transactions and fees on the network to support miners. The total value locked (TVL) in DeFi will be tremendous compared to all the liquidity Bitcoin will add to the DeFi market.

Advances like wrapped tokens and crosschain bridges have enabled Bitcoin holders to engage in flash loans, lending, staking, restaking and yield farming on DeFi platforms. The current levels are, however, insufficient and will not be the only way to take advantage of this enormous liquidity injection. 

As of March 10, Bitcoin’s TVL in DeFi stood at over $5 billion, according to DefiLlama data. This represents only 6% of the TVL of all the current blockchains on the market, with Ethereum the king at 52.56% with $48 billion. If Bitcoin became the new king of TVL in DeFi, it would only need to use some of the dormant Bitcoin mentioned above.

In this scenario, Bitcoin will provide more stability to DeFi, as its holders, including institutional and long-term investors, are not prone to selling during market downturns. In addition, activating even a small fraction of currently idle Bitcoin could unlock billions of dollars of liquidity for decentralized finance applications.

The best way to use BTC in DeFi is restaking

Today, restaking is emerging as an innovative, engaging way to integrate Bitcoin into DeFi while maintaining its appeal as a conservative, secure investment vehicle. Restaking enables holders to stake their assets in decentralized protocols and earn passive income while contributing to the economic security of the network.

This mechanism offers several benefits, including passive income with minimal risk and economic security, by supporting the development of new products. It parallels traditional finance by offering predictable returns while preserving capital, which appeals more to conventional investors.

Restaking aligns with the conservative mindset typical among many Bitcoin holders, allowing them to participate in innovations within the DeFi space. Restaking is desirable for every Bitcoiner to obtain yield with their reserves.

Dormant Bitcoin is a massive opportunity for DeFi

Dormant Bitcoin is a vast, untapped reservoir within the Web3 ecosystem. By integrating Bitcoin into DeFi platforms today, individual investors and the broader ecosystem will significantly benefit from the increased stability, liquidity and growth opportunities.

Opinion by: Amitej Gajjala, co-founder and CEO of KernelDAO.

Bitcoin (BTC) doubled down on its divergence from stocks at the April 21 Wall Street open as US trade war tensions escalated. BTC/USD 1-day chart. Source: Cointelegraph/TradingView

Trade war reactions fuel BTC price gains

Data from Cointelegraph Markets Pro and TradingView showed BTC/USD matching month-to-date highs above $88,000.

Bitcoin continued higher after the weekly close to catch up with gold as the latter set fresh all-time highs of $3,430 per ounce.

XAU/USD 1-hour chart. Source: Cointelegraph/TradingView

By contrast, stock markets came under renewed selling pressure, with the S&P 500 and Nasdaq Composite Index both down over 2% at the time of writing.

Newfound BTC price strength thus appeared to end lockstep trading with equities as part of reactions to trade-war headlines.

These included warnings about the deterioration of relations with the US from both China and Japan, while US President Donald Trump renewed existing attacks on Federal Reserve Chair Jerome Powell over interest rates.

Source: Truth Social

“Technology stocks have gotten crushed again over the last week. Nvidia, $NVDA, is down over -15% since last Monday while multiple other Mag 7 stocks are down 10%+,” trading resource The Kobeissi Letter wrote in part of a reaction thread on X. 

“Without technology stocks, this market cannot bottom.”S&P 500 1-hour chart. Source: Cointelegraph/TradingView

Kobeissi also referenced downside pressure on the US dollar index (DXY), which traded at its lowest levels since March 2022.

“While the USD, $DXY, falls to a new 52-week low below 99, Bitcoin and Gold are surging,” it summarized. 

“Markets need trade deals ASAP.”US dollar index (DXY) vs. BTC/USD chart. Source: The Kobeissi Letter/X

Bitcoin “institutional confidence returning”

Continuing, trading firm QCP Capital struck an optimistic tone.

Related: US dollar goes ‘no-bid’ — 5 things to know in Bitcoin this week

Bitcoin, it argued in its latest bulletin to Telegram channel subscribers, seemed to be sharing some of gold’s limelight as a hedge against macroeconomic uncertainty after months of failure.

“With equities finishing last week in the red and extending an April drawdown, the narrative of BTC as a safe haven or inflation hedge is once again gaining traction. Should this dynamic hold, it could provide a fresh tailwind for institutional BTC allocation,” it wrote.

QCP even suggested that recent outflows from the US spot Bitcoin exchange-traded funds (ETFs) may soon recover.

“Indeed, we’re already seeing early signs of institutional confidence returning. Spot BTC ETF flows turned positive last week with net inflows of $13.4 million, a stark contrast to the previous week’s $708 million in outflows,” the bulletin noted. 

“In options markets, positioning has turned more balanced. Risk reversals across tenors have flattened out, diverging from the persistent near-dated put skew that has dominated for weeks.”US spot Bitcoin ETF flows (screenshot). Source: Farside Investors

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.